Question

Mary sells handmade earrings for a living. Susan is a new lawyer and a friend of Mary who gives legal advice to Mary in return for earrings. Susan tells Mary that under the Magnuson-Moss Act she is required to provide all buyers with a written warranty setting forth their rights as consumers. Mary asks if there is not a way around that because she is tired of complaining customers who do not take care of their earrings and that she would love to find a way to provide no warranties whatsoever. Which of the following is true regarding Susan's advice and warranties on the earrings?a.Susan is wrong, and Mary is free to disclaim warranties.
b.Susan is partially correct, and Mary must provide a limited written warranty under the Magnuson-Moss Act.
c.Susan is correct, and Mary must provide a full written warranty under the Magnuson-Moss Act
d.Susan is partially correct, and Mary must provide a limited written warranty under the Magnuson-Moss Act only if her average gross sales are over $5,000.
e.Susan is partially correct, and Mary must provide a full written warranty under the Magnuson-Moss Act only if her average gross sales are over $5,000.

Answer 1

Answer:

a.Susan is wrong, and Mary is free to disclaim warranties.

Explanation:

According to the Magnuson-Moss Act the seller of a product may or may not provide warranty on a product. But is warranty is provided the following conditions must be met.

- The seller must provide a full or limited warranty.

- The coverage of the warranty must be stated

- Warranty must be available to the customers, so that they can read it before making a purchase.

So Mary can choose to disclaim all warranties on her products, not making her liable for any defects found in them. But if she wants to provide warranty it must be written and follow the conditions stated above.